How To Be A Highly Effective Sales Manager: Tips to Be A Great Sales Manager

July 11, 2023
Business Development

Managing a sales team is difficult, especially during the last quarter of the year. As a manager, your role can be essential to your company’s success. It’s more than just monitoring quotas and meeting target metrics. You are in charge of coaching your reps, helping them get to the level they need to be, and ensuring their morale stays high.

As the team leader in sales management, you can make or break your sales organization. The role comes with a fair share of pressure. But by following a few of these steps and these sales team management best practices, you can become a sales manager who leads and sets yourself and your team up for success to end the year strong.

how to be an effective sales manager

Connect 1-on-1

Being a sales manager can be very challenging. You have to gather resources for your team, manage reports coming in, and still have to make sure your sales numbers are on pace to where they need to be. If you want your sales team to reach their performance goals, one-on-one meetings can be very useful. It can allow you to get to know each team member individually and give you some time to learn more about their long-term and short-term goals.

Growth is important for many people, and as a manager, it’s important for you to guide them to where they need to be so they can reach that next level. Your sellers will appreciate the time you took to get to know them and their goals. It also will provide them with a safe space to open up and express their feelings, which can be helpful during difficult times.

Determine Your Sales Strategy

Having a logical strategy gives your sales team direction on the team’s goals and what needs to be done to get there. Having an overall goal that is transparent to your team makes everyone aligned and aware of what everyone is working on in the team.

Leverage the one-on-one meetings with sales reps we mentioned earlier, and develop a personalized strategy based on your sales rep’s role or account they are working on. Each client’s needs vary, so you want to ensure that your sales reps are in the best position to succeed. By focusing on individual team members, you can get a clear picture of what issues your team is facing. You can track team-wide barriers, as well as nail down individual issues.

Set Clear Sales Goals

Highly effective sales managers know that clear, measurable goals drive success. One of the most critical aspects of sales management is defining goals that align with company objectives while keeping your team motivated.

Use the SMART goal framework to set objectives:

  • Specific: Define clear, detailed goals (e.g., increase outbound calls by 20% in Q3).
  • Measurable: Establish KPIs (key performance indicators) to track progress.
  • Achievable: Ensure goals are realistic based on past performance and market conditions.
  • Relevant: Goals should align with company revenue and growth targets.
  • Time-bound: Assign deadlines to create urgency.

By setting team-wide and individual goals, you create accountability and give your reps a roadmap for success.

Prioritize Sales Activities

Not all sales activities yield the same results. As a sales manager, part of your job is ensuring your reps focus on high-impact activities that drive revenue. Here’s how you can help your team prioritize:

  • Identify High-Value Prospects: Teach your team to segment leads based on ideal customer profiles (ICP).
  • Time Blocking for Prospecting: Encourage reps to dedicate time for outreach, follow-ups, and pipeline management.
  • Sales Funnel Optimization: Monitor where deals are stalling and adjust strategies accordingly.
  • Utilize Technology: Leverage CRM and automation tools to streamline repetitive tasks and improve efficiency.
  • Pipeline Forecasting: Use data-driven insights to predict potential revenue and make informed adjustments to strategies.

Adapt to Different Sales Cycles

Every industry has a unique sales cycle. Whether you're in B2B SaaS, professional services, or e-commerce, understanding the buying process is critical. As a sales leader, you should guide your reps on tailoring their approach based on:

  • Short sales cycles: Focus on urgency and quick decision-making.
  • Long sales cycles: Nurture leads with value-driven content and strategic follow-ups.
  • Seasonal fluctuations: Prepare teams for industry-specific sales trends and off-peak strategies.
  • Complex deal structures: Train reps on how to navigate multi-stakeholder negotiations and long-term contracts.

Data-Driven Sales Management

Sales management is no longer just about intuition and experience—it’s about leveraging data to make informed decisions. Successful sales managers use data analytics to drive team performance and optimize processes.

Tracking Key Sales Metrics

To effectively lead a sales team, you must measure the right KPIs. Here are essential sales metrics to track:

  • Lead-to-Close Conversion Rate: Understanding how many leads turn into actual sales helps refine outreach strategies.
  • Sales Pipeline Velocity: Measuring how quickly deals move through the pipeline gives insights into inefficiencies.
  • Customer Acquisition Cost (CAC): Analyzing how much it costs to acquire a customer ensures profitability.
  • Win Rate by Sales Rep: Identifying top performers and struggling reps helps tailor coaching efforts.
  • Average Deal Size: Tracking trends in deal sizes allows for revenue forecasting.

Implementing a Data-Driven Sales Culture

To integrate data into your sales management process:

  • Utilize CRM Software: A robust CRM helps track interactions, forecast revenue, and provide insights into sales rep performance.
  • Encourage Data-Based Decision Making: Train your team to rely on data rather than just gut instinct.
  • Hold Weekly Performance Reviews: Discuss key sales metrics in team meetings to keep everyone aligned with company goals.
  • Use AI and Automation: AI-driven tools can analyze patterns and recommend optimal times for outreach, pricing strategies, and upselling opportunities.

Put Incentives in Place

Sales are known to be a beast and can burn out even the hungriest of sales reps. It’s possible that your sales already has a compensation package, but to keep your team motivated, having some incentives in place can be helpful. Money can be the ultimate motivator for some people, but it never hurts to get creative to shake things up.

Try some tactics like free lunch for sales meetings set in the week, or you can even let a seller have the last Friday off in the month if they hit their monthly sales numbers. Putting incentives in place will keep your sales reps focused and create a competitive and fun environment for your team. And when you are enjoying what you are doing, that’s when you can see great success.

Sales Coaching & Mentorship

One of the defining traits of great sales managers is their ability to coach. Sales is an evolving profession, and continuous learning is key to keeping your team competitive.

Conducting Effective Sales Coaching Sessions

Regular coaching helps reps refine their skills and improve performance. Follow these coaching best practices:

  • Shadow sales calls: Listen to calls and provide constructive feedback.
  • Role-playing exercises: Simulate sales scenarios to refine objection handling.
  • Personalized coaching plans: Tailor training to individual strengths and weaknesses.
  • Data-driven insights: Use CRM analytics to identify performance trends and areas for improvement.
  • Encourage Peer Coaching: Foster a collaborative environment where experienced reps can mentor newer team members.

Creating a Feedback-Driven Culture

Great sales cultures thrive on constant feedback. Foster a growth mindset by:

  • Encouraging self-evaluation: Ask reps to analyze their own performance.
  • Providing real-time feedback: Don’t wait for quarterly reviews—give insights after key sales interactions.
  • Celebrating small wins: Recognize progress, not just closed deals.
  • Building Accountability: Empower sales reps to take ownership of their development and set personal performance goals.

By positioning yourself as a mentor rather than just a manager, you’ll cultivate a team that’s eager to learn and improve.

Build Company Culture

Every company is defined by its culture, but the best companies focus on how their culture impacts their employees.

Along with money and benefits, company culture is highly emphasized as one of the most important factors for sales job seekers. Most sales leaders understand that culture should be a priority, but it's difficult to understand what a good sales culture looks and functions like.

Unlike sales, you can’t measure culture like you do sales volume, opportunities, and conversions. Create a culture that is team-oriented. Sales can easily become a competition between sellers, but it’s more important if your reps work towards achieving the team goal rather than personal ones. You want to create an environment where each team member is transparent about what their teammates are working on and wants to be a contributing member to help reach the team goal.

Here are some other qualities your company culture should consist of:

  • Constant Feedback
  • Proactive Communication
  • Praise and Recognition
  • No Negativity
  • Self-accountability
  • A desire to win

Additional Sales Management Techniques

Time Management for Sales Managers

A sales manager’s time is split between meetings, coaching, and administrative tasks. To stay productive:

  • Use automation: Leverage CRM tools to reduce manual data entry.
  • Delegate effectively: Assign lead qualification tasks to SDRs/BDRs.
  • Protect deep work time: Block time for strategy planning and team development.
  • Schedule Regular Performance Reviews: Set aside time to analyze team performance and adjust strategies accordingly

Handling Underperformance

Every team has underperformers, but great sales managers know how to turn struggling reps into top performers.

  • Diagnose the issue: Is it a skill gap, motivation problem, or external factor?
  • Provide structured coaching: Offer targeted training to address weaknesses.
  • Set performance improvement plans (PIPs): Clearly define expectations and milestones.
  • Recognize Effort, Not Just Results: Encourage a growth mindset and reward progress, not just closed deals.
  • Use Gamification: Implement sales leaderboards, contests, and rewards to create a fun, motivating environment.
  • Leverage Peer Learning: Pair underperformers with top reps to learn effective sales techniques through mentorship.
  • Reassess Role Fit: Sometimes, underperformance stems from a misalignment in role suitability. Evaluate if a struggling rep would excel in a different position within the company.

Lead by Example: Becoming the Sales Manager Your Team Needs

As a manager, understand that this all starts with you. It’s up to you to create an environment where your sales team will succeed and enjoy every minute of it. It’s important that you understand your team so you can lead to being as successful as possible. Managing a sales team shares many of the same challenges as sales itself.

To lead effectively, consider these key principles:

  • Lead with Transparency: Be open about company goals, expectations, and challenges.
  • Be Approachable: Foster a culture where team members feel comfortable asking for help.
  • Stay Adaptable: Sales is an ever-changing field, so be ready to pivot strategies when needed.
  • Develop Your Leadership Skills: Continuously refine your coaching, problem-solving, and decision-making abilities.

Find your way as a sales leader by becoming the leader you always needed.

Mastering Sales Leadership for Long-Term Success

Sales management is both an art and a science. The most successful sales managers continuously refine their strategies, invest in coaching, and create a thriving company culture.

If you're looking for expert guidance on being an effective sales manager or want to outsource sales prospecting to free up your team’s time, Key Outreach can help. Our proven systems generate 1-3 extra sales per month, allowing you to focus on leading your sales team to success.

Click here to schedule a free consultation and start scaling your sales operations today!

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